Merged: Continental and United Tie The Knot | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Airborne Unlimited-
Monday

Airborne-Unmanned w/AUVSI-
Tuesday

Airborne Unlimited-
Wednesday

AMA Drone Report-
Thursday

Airborne Unlimited-
Friday

Airborne On ANN

Airborne 12.11.17

Airborne-Unmanned 12.12.17

Airborne 12.13.17

AMA Drone Report 12.14.17

Airborne 12.15.17

Airborne-YouTube

Airborne 12.11.17

Airborne-Unmanned 12.12.17

Airborne 12.13.17

AMA Drone Report 12.14.17

Airborne 12.15.17

Mon, May 03, 2010

Merged: Continental and United Tie The Knot

Matchup Yields Biggest Airline In The Biz... and Possible Woes For Consumers

While most of us were trying to enjoy the weekend, the powers-that-be at United and Continental were reportedly cooking up a deal that was completed Sunday afternoon to merge the two companies to create the world's 'Largest' airline. The estimated $3.7 Billion dollar stock purchase would allow UAL to buy the entire stock of Continental in an all-stock transaction that is expected to close before the end of the year and will retain United's brand name. The combined value of the two companies is estimated at well over $8 Billion.

As we understand it, the announcement is likely to be made later today (Monday) and would install Continental Boss, Jeffery A. Smisek, as the head of the new company, while United’s chairman, Glenn F. Tilton, would be nonexecutive chairman for two years. Mr. Smisek will take of the role of executive chairman, thereafter.

The new entity's HQ remains in Chicago in UAL's current digs and will result in a fleet of some 700 aircraft and over 88,000 staffers. United shareholders allegedly will hold a 55% majority of the stock in the new venture. Simultaneously; like Eastern, PanAm and Braniff airlines before them, a once powerful airline brand will cease to be part of the aviation lexicon.

Industry analysts see the move as a probable win for UAL/Continental and a possible loss for the flying consumer who has had to put up with increasing fees, higher ticket prices and a significant decline in customer service and decorum... the combined merger provides little incentive for these airlines to make any inroads in matters of interest/importance to the flying public and history suggests that the merger will not result in positive benefits for same. Analysis of the impact on UAL and Continental staffing  remains mixed.

ANN will analyze the details expected to be made public throughout the day and furnish further updates as they become available.

FMI: www.united.com, www.continental.com, www.dot.gov
 

Advertisement

More News

Airborne 12.11.17: Pilatus PC-24 Cert, VerdeGo Aero, Canada Nixes Hornets

Also: Engine Coatings Facility, Wrong Runway At JFK, ATR 72-600 Flight Sim, Regional Airline Association Pilatus has obtained type certificates from the FAA and EASA for the first >[...]

Airborne 12.13.17: Flight Design Update, Bell 525, Space Policy Directive

Also: A380 Production Cut?, Canadian Arctic Aviation Tour, US Nationals, Muilenburg'ss Mars Prediction Flight Design may be under new ownership, but it plans to continue to be a le>[...]

Airborne 12.13.17: Flight Design Update, Bell 525, Space Policy Directive

Also: A380 Production Cut?, Canadian Arctic Aviation Tour, US Nationals, Muilenburg'ss Mars Prediction Flight Design may be under new ownership, but it plans to continue to be a le>[...]

Dassault Ends Falcon 5X Program

Cites Issues With Delivery Of Engines, Will Start Development Of A New Aircraft Dassault Aviation has initiated the termination process of the Silvercrest contract leading to the e>[...]

Aero-News: Quote of the Day (12.14.17)

“We appreciate the FAA making an effort to clarify the responsibilities and available options in preserving airport access, improving fee transparency, and ensuring public-us>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2017 Web Development & Design by Pauli Systems, LC